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Our Business Philosophy Cattle production continues toward value-based production and marketing. Producing beef on your ranch must take into consideration and be associated with the entire supply chain, from your ranch to the end user. This involves evaluating all resources employed by your ranch to produce a pound of product. Because resources and business objectives vary widely across ranches, there is no "one size fits all" model. With the exception of the starting point and the final objective, the design and initiation of value-based programs vary, depending upon the target market. The objective is to achieve a greater return on the assets and resources employed by the ranch. This is achieved through managing your resources toward the highest use and diversifying your "portfolio" of marketing options and thus, your market risk. The starting point to meeting this objective is to compile a detailed inventory and analysis of the ranch resources. This is where Land & Livestock Advisory Service begins to provide a service to your ranch and assists you in working toward adding and capturing greater value from production The criteria for your ranch resource inventory are . . . . . . . Do your cows fit the ranch? Does your beef production fit a market? Do your costs of production align with the value of your production? Working with you, we will address the following questions . . . . . . . What does it cost you to produce product for your target market?
What is a fair and achievable return to your resources? Do your costs allow you to achieve that return? Breakeven prices and transfer costs are important. Is this return consistently achievable over time? Do your objectives align with your expectations for a fair and achievable return? The bottom line is to define and manage your production and market risk. Managing risk and uncertainty involves reducing variability and increasing predictability in all phases of production and marketing and requires informed decision-making. Informed decisions require a reliable feedback mechanism in order that you can focus management on what you can do the best. Our objective is to use this as our starting point.
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